The Narendra Modi government on Friday unveiled its vision for 2030, listing 10
“dimensions” ranging from improved infrastructure to cleaner air, responsible bureaucracy and taking India to the “outer skies”.
The vision was presented by Finance Minister Piyush Goyal during his Budget speech in Parliament.
“With this comprehensive 10-dimensional vision, we will create an India where poverty, malnutrition, littering and illiteracy would be a matter of the past,” Goyal said. “India would be a modern, technology-driven, high growth, equitable and transparent society.”
In the Indian ethos, anything which is good is supposed to bestow, cause, create and do good in all ten directions. I will, therefore, layout our vision for ten most important dimensions in 2030.
1) The First Dimension of this Vision will be to build physical as well as social infrastructure for a ten trillion dollar economy and to provide ease of living. It will comprise next generation infrastructure of roads, railways, seaports, airports, urban transport, gas and electric transmission and inland waterways . On the social infrastructure side, every family will have a roof on its head and will live in a healthy, clean and wholesome environment. We will also build a quality, science oriented educational system with Institutes of excellence providing leadership at the top.
2) The Second Dimension of our Vision is to create a Digital India reaching every sector of the economy, every corner of the country and impacting the life of all
Indians. Digital Infrastructure and digital economy of 2030 will be built upon the successes achieved in recent years in digitisation of government processes and private transactions. Our youth will lead us in this endeavour with innumerable start-ups creating digital India, and millions of jobs in this eco-system.
3) Making India a pollution free nation with green Mother Earth and blue skies is the Third Dimension of our Vision. This India will drive on electric vehicles with renewables becoming a major source of energy supply . India will lead the world in the transport revolution through electric vehicles and energy

storage device s , bringing down import-dependence and ensuring energy security for our people.
4) Expanding rural industrialisation using modern digital technologies to generate massive employment is the Fourth Dimension of our Vision. This will be built upon the Make in India approach to develop grass-roots level clusters, structures and mechanisms encompassing the MSMEs [micro, small and medium enterprises], village industries and start-ups spread in every nook and corner of the country. India is now on the way to becoming a global manufacturing hub in various sectors including automobiles and electronics, defence and medical devices.
5) Our rivers and water bodies are our life supporting assets. Our government has worked vigorously for cleaning River Ganga. Fifth Dimension of our Vision for
India of 2030 is Clean Rivers, with safe drinking water to all Indians, sustaining and nourishing life and efficient use of water in irrigation using micro-irrigation techniques.
6) India’s long coastline has the potential of becoming the strength of the economy, particularly through exploitation of the Blue Economy , to ensure better standards and quality of life for a large number of people living in the coastal areas. Our efforts in the Sagarmala programme will be scaled up and we will develop other inland waterways faster. Our coastline and our ocean waters powering India’s development and growth is the Sixth Dimension of our Vision.
7) The Seventh Dimension of our Vision aims at the outer skies. Our space programme – Gaganyaan, India becoming the launch-pad of satellites for the
World and placing an Indian astronaut into space by 2022 reflect this dimension of our vision.
8) Making India self-sufficient in food, exporting to the world to meet their food needs and producing food in the most organic way is the Eighth Dimension of our
Vision. High farm production and productivity will be achieved through modern agricultural practices and value addition. An integrated approach towards agro and food processing, preservation, packaging and maintenance of the cold chain will be our focus of attention.
9) A healthy India is the Ninth Dimension of our Vision. We will be aiming at healthy society with an environment of health assurance and the support of necessary health infrastructure. Our Government has rolled out the Ayushman
Bharat scheme. By 2030, we will work towards a distress free health care and a functional and comprehensive wellness system for all. Such a healthy India built with the participation of women having equal rights and concern for their safety and empowerment.

10) Our vision can be delivered by Team India - our employees working together with the elected Government, transforming India into a Minimum Government
Maximum Governance nation. This is the Tenth Dimension. Our India of 2030 will have a proactive and responsible bureaucracy which will be viewed as friendly to people. https://scroll.in/latest/911659/full-text-piyush-goyal-presents-10-dimensional-vision-2030-for-india
The interim budget has provided Rs 3,004.90 crore for solar projects development (including both grid-interactive and off-grid and decentralized) in financial year 2019-20, which is just 1 per cent increase over the estimated expenditure of Rs 2,969 crore this fiscal, according to reports.
FEBRUARY 5, 2019 UMA GUPTA
Overall, the budget provides Rs 4,960 crore for both grid-interactive and off-grid or decentralized renewable power in 2019-20. This is a marginal 1 per cent increase over
Rs 4,903 crore allocated for current fiscal.
For grid-interactive solar projects, there is a 15 per cent hike to Rs 2,479 crore in
201920 over the current fiscal’s revised estimate of Rs 2,157.24 crore, reported Economic Times based on a review of budget documents tabled in
Parliament.
On the other hand, the budgetary allocation for off-grid and decentralized solar power is 35 per cent less at Rs 525 crore than the Rs 812 crore estimated for
2018-19.
“The provision of Central Financial Assistance (CFA) will be utilized to add 7.5
GW grid-interactive solar power capacity in 2019-20 ,” added the daily newspaper, based on the Expenditure Budget document for the Ministry of New and
Renewable Energy (MNRE) .
Off-grid and decentralized solar projects fall under the Phase-III solar PV programme , under which 300,000 solar street lights will be installed throughout the nation, and standalone solar PV power plants of individual size up to 25 kWp will be promoted in areas where grid power has not reached or is not reliable. Also, 25 lakh solar study lamps will be provided.
Standalone solar PV power plants will help to provide electricity to schools, hostels, panchayats , police stations and other public service institutions. The aggregated capacity of such solar power plants would be 100 MWp.
In addition, the government plans to install over 3 lakh solar street lights under AJAY
Ph-II, and 20 MW of Concentrated Solar Thermal (CST) projects in the new fiscal.

Overall, the budget provides Rs 4,960 crore for both grid-interactive and off-grid or decentralized renewable power in 2019-20. This is a marginal 1 per cent increase over Rs 4,903 crore allocated for current fiscal.
The budget for green energy corridors, however, has been increased by 40 per cent to Rs 700 crore from Rs 500 crore for 2018-19. https://www.pv-magazine-india.com/2019/02/05/budget-2019-just-1-per-cent-hike-for-solarsector/
01-02-2019 | 9:15 am
A majority of industry stakeholders anticipate tax reduction, better rate of interest, subsidies for developers in the Union Budget 2019-20.
Last year, various policy initiatives as part of '24X7 power to all' were announced to ensure last-mile connectivity. This year too the trend is likely to continue.
The highlight of achievements in the power sector over the last five years is electricity connections reaching over 96% households.
The next focus is electrification of every house . This target is nearing the cent per cent goal.
Deendayal Upadhyaya Gram Jyoti scheme was launched in the 2014-2015 with the aim of taking connections to distant and difficult terrains.
All budgets since then have seen an increase in allocations for this head.
Industries have also been given tax rebates to encourage production of renewable energy. The government has set a target of installing 175 GW of renewable energy capacity by the year 2022.
Pradhan Mantri Sahaj Bijli Har Ghar Yojana – 'Saubhagya' yojana was launched by the Prime Minister on 25th September, 2017.

Since then free electricity connections to all households in rural areas and poor families in urban areas are being provided.
In the 2018 budget an allocation of Rs 16,000 crores was made for this scheme.
Now, that cent per cent electrification target is nearing completion production companies in the power sector are hoping for some incentives in this budget.
Many of these companies are burdened with massive loans. They hope that the focus on increased manufacturing will open a window of relief for them. Both traditional and renewable power production has witnessed a massive surge since 2014.
India today not only meets its power needs but is also generating excess capacity.
As a result a huge market is emerging especially for renewable energy. The solar power sector is hoping for lowering of interest rates on long term loans. A tax rebate for small units using solar energy will also help this sector.
The government is well aware that such initiatives will go a long way in achieveing the goal of generating 100 Gigawats of solar power. And this budget will likely focus on this area. http://ddnews.gov.in/business/budget-2019-will-power-sectors-expectations-be-met
This India will drive on electric vehicles. We would not have to import oil and will produce electricity on our own domestically - Goyal.
Updated: February 1, 2019, 12:28 PM IST
“India will lead the energy revolution in the world with the electric vehicles” said Finance
Minister Piyush Goyal while presenting the Budget 2019 in Lok Sabha today in presence of
Prime Minister Narendra Modi and Union Minister for Road, Transport and Highways Nitin
Gadkari. Piyush Goyal said there are 10 dimensions to be focused till 2030 and the third dimension is clean energy and electric vehicles.
Goyal said – “This India will drive on electric vehicles. We would not have to import oil and

will produce electricity on our own domestically”.
He also said India is fast becoming the automobile manufacturing hub of the world. However, no tax structures of rebate slabs were discussed during the budget.
A day ahead of the budget 2019, the government lowered customs duty on import of parts and components of such vehicles to 10 to 15 per cent to promote domestic assembling of electric vehicles.
Until now, vehicle parts and components imported for assembly in India attracted import duty of 15 to 30 per cent. The Central Board of Indirect Taxes and Customs (CBIC) has carved out a separate category for parts and components of electric vehicle for which customs duty has been lowered to 10-15 per cent.
Further, the CBIC has removed customs duty exemption to battery packs for electric vehicles and also doubled the duty on battery packs for mobile phones . Henceforth, import of battery packs for electric vehicles will attract 5 per cent tax. Customs duty on battery packs for mobile phone has been doubled to 20 per cent.
The new rates of duties will come into effect from January 30, the CBIC said. EY Tax
Partner Abhishek Jain said, "These customs duty rate rationalisations while may increase the cost of import of these goods, but should definitely boost the 'Make in India' initiative of the government."
With Inputs from PTI https://www.news18.com/news/auto/budget-2019-india-to-lead-energy-revolution-with-electricvehicles-finance-minister-piyush-goyal-2021743.html
NDA government announced the interim budget on February 1, 2019
Saumy Prateek
February 4, 2019: The interim budget announced by interim Finance Minister
Piyush Goyal did not offer much for India’s renewable energy sector.

Mercom had reported that the budget could be an opportunity to help restore confidence with stakeholders, a nnounce further reforms, and steer the renewable energy industry in the right direction to meet the target of 175 GW of renewable energy by 2022 — a goal which was set by the NDA administration at the beginning of its five-year term.
However, the interim budget was devoid of any grants, incentives, or subsidies for the renewable energy sector, disappointing the renewable energy sector in India.
Much like the Union Budget 2018-19 and the 2017-18 Budget, this muchanticipated budget by the NDA government – just a few months away from the
Lok Sabha polls – did not do much to allay uncertainties . In the budget speech, there were only fleeting references to the renewable energy sector with the
Minister mostly talking about major sectoral initiatives undertaken by the
NDA government through the year.
“As expected, there was nothing in this budget for solar, wind or any other renewables and was understandable considering that this was an interim budget.
However, the industry was expecting some good proposals to help the sector move forward which did not come .
Good news is that there was nothing bad for the sector which in itself is a relief for many in the industry,” said Raj Prabhu CEO of Mercom Capital Group.
Mercom spoke with various top officials of companies involved in India’s renewable energy sector to find out what they had to say after the Budget was tabled in Parliament today.
Amit Gupta, Director of Legal & Corporate Affairs, Vikram Solar, said, “In a situation where there is scarcity of financing options for renewables and manufacturing units are dying a slow death, the budget provides no ray of hope.
The industry was expecting a policy direction from the government to promote manufacturing, especially in the renewable energy sector in the background of job crisis, which India is facing right now. Surprisingly, this was completely missing from the budget. Budgetary allocation for the MNRE remains approximately similar to the capital allocated in FY 2017-18. Unfortunately, the government did not act upon the Parliamentary Standing Committee recommendation, which reinstatement the funding of renewable energy projects through National Clean
Energy Fund (NCEF), which was diverted towards GST compensation fund since
2017.”
Chetan Shah, Director of Goldi Solar
, said, “Since it was an interim budget for two months only, there were less industry specific expectations overall. However, as a manufacturer, we expected some positive announcements related to the Make in India initiative, like Modified Special Incentive Package Program , which has not been covered in this Budget. We expect favorable announcements in the first
Budget of the new government.”

Nikunj Ghodawat, CFO, CleanMax Solar, said , “What we will wait to see is the finer print on the renewable industry like uniformity in policies, imposition of duties, ease of financing etc. to reduce the dependence on depleteable energy resources, thereby fueling the adoption of renewable energy.
For electric vehicles to be a norm in the future, policies should include how EVs can be powered by renewable energy . While the budget has confirmed the role of renewables in its vision of a clean and green India, and states have started showing enthusiasm in adoption, a long-term road map will be expected by the industry.”
Gagan Vermani, CEO & Founder, MYSUN , said, “For the second year in a row, solar was a no-show at the 2019 Interim Budget, apart from a sole mention about the installed solar generation capacity addition in the past five years. While prices for solar have continued to drop over the last year, it’s the lack of financing for solar projects that have hit the industry hard. And this year’s budget has missed addressing that yet again. We have been demanding solar loans to be treated like home loans, as an instrument for individuals to claim a tax rebate. But seems like the industry will have to wait for that.
There is some indirect relief to
MSME units registered with the GST in the form of a 2percent interest rebate on fresh or incremental loans up to a limit of Rs 10 million (~$0.14 million). This may incentivize some of these MSMEs to utilize this facility to install solar systems on their rooftops and thereby reduce their energy bills.”
Sunil Rathi, Director Waaree Energies, said, “The government indication that the solar power generation has increased 10 times in the last five years, stands testament to the fact that solar energy has been leading the alternative energy space, and playing its part in achieving energy security in the country. With the
Government’s aim to reduce dependency on fossil fuels, as well as imports, it is imperative that the solar domestic manufacturing segment receives ample
Government support in form of anti-dumping policies and subsidies .
If the support towards solar energy sector is sustained, and given a conducive economic environment, the sector will lead in generation of employment and broaden the horizon of solar energy penetration in the country.”
“Electric vehicles and solar rooftop projects
are going to provide the much needed respite to deteriorating environment in our urban areas. We look forward to concrete steps for promotion of rooftop solar and electric vehicles so that every common person starts adopting these life-transitioning technologies,” Sanjeev
Aggarwal, Founder and CEO, Amplus Energy said.
It should be noted that the government has only presented an interim budget
(also known as a vote on account, which is slightly different from the regular budget). Usually, when the incumbent government is nearing the end of its term and an election is around the corner, the prime purpose of the budget is to get the approval of Parliament to meet ongoing expenditures of the government with a few tweaks and announcements here and there.
Later,

when a new government takes charge, a full budget is presented with revisions. So, not all hope is lost for the sector and now begins another wait for the full budget after the elections. https://mercomindia.com/budget-201-solar-industry-reacts/
The allocation for solar projects under off-grid and decentralized renewable power is seen declining 35 per cent to Rs 525 crore for the next financial year from Rs 812 crore based on the revised estimate for 2018-19.
Ankush Kumar | February 04, 2019, 14:18 IST
New Delhi: The interim budget has allocated Rs 3,004.90 crore for development of solar power projects next financial year (2019-20) including both grid-interactive and off-grid and decentralized categories. This is a mere 1 per cent increase over the likely expenditure of Rs 2,969 crore for solar projects this fiscal.
Under grid-interactive schemes, the budgeted allocation for solar is seen rising 15 per cent to Rs 2,479 crore in 2019-20 as c ompared to the current fiscal’s Revised
Estimate of Rs 2,157.24 crore, a review of budget documents tabled in Parliament show.
“The provision of Central Financial Assistance (CFA ) will be utilized for capacity addition of 7,500 Megawatt Solar Power in 2019-20 under the grid interactive renewable power ,” the Expenditure Budget document for the Ministry of
New and Renewable Energy ( MNRE ) said.
The allocation for solar projects under off-grid and decentralized renewable power is seen declining 35 per cent to Rs 525 crore for the next financial year from Rs 812 crore based on the revised estimate for 2018-19 .
Solar projects under off-grid and decentralized renewable power constitute the implementation of Ph-III solar PV programme which covers installation of 3 lakh solar street lights, distribution of 25 lakh solar study lamps and installation of solar power packs of the total aggregated capacity of 100 MW.

In addition, the government plans to install over 3 lakh solar street lights to under
AJAY Ph-II.
Also, 20 MW projects of Concentrated Solar Thermal (CST) technology will be undertaken in the new fiscal.
Overall, the budget has allocated Rs 4,960 crore for both grid-interactive and off-grid or decentralized renewable power for 2019-20. This is a marginal 1 per cent increase over the allocation of Rs 4,903 crore based on the Revised Estimate for current fiscal.
Apart from solar, the budget has allocated a bulk of the funds under two other heads
-- wind power and green energy corridors. Both of them fall in the grid-interactive category.
Wind Power has been allocated 24 per cent less at Rs 720.00 crore for 2019-20 as compared to Rs 950 crore of revised allocation for the current fiscal year. Wind
Power capacity of 4,000 Mw will be commissioned in 2019-20.
The budget has raised the allocation for green energy corridors by 40 per cent to
Rs 700 crore as compared to Rs 500 crore allocation based on the Revised Estimate of 2018-19.
The budget documents showed the provision of CFA will be utilized for capacity addition of cumulative 6,000 Circuit Kilometer (ckm) of transmission infrastructure under intra-state Green Energy Corridor project in 2019-20. https://energy.economictimes.indiatimes.com/news/renewable/budget-2019-allocationfor-solar-power-development-seen-flat-at-rs-3000-crore/67830799

With nearly unanimous voice, majority of EV stakeholders pitched for the removal of inverted duty structure which is making procurement of raw material costlier than the final product.
Shruti Mishra | ETAuto | January 27, 2019 , 14:47 IST
FAME-I is due to expire on March 31, 2019 after several extensions.New Delhi: With less than a week left for Union Budget 2019 , the most sanguine electric vehicle (EV) manufacturers are seeking to reduce goods and services tax on electric vehicles and batteries and rolling out of a time bound FAME II.
“
Since FAME II outlines everything from manufacturing to charging infrastructure to
R&D to incentives, so a nod from the government for this scheme will remove major roadblocks at once and will give domestic EV sector an impetus ,” Mahesh Babu,
CEO of Mahindra Electric told ETAuto. FAME-I is due to expire on March 31, 2019 after several extensions.
With nearly unanimous voice, majority of EV stakeholders also pitched for the removal of inverted duty structure which is making procurement of raw material costlier than the final product.
"We also want GST on batteries to be reduced from the current 18 per cent slab to the 12 per cent slab," Babu added.
On a similar note, Chetan Maini, Co-founder and Vice Chairman of EV solutions firm
Sun Mobility says GST rate on lithium-ion battery should be brought down at a same level as electric vehicles and suggests to place charging services at the lowest tax rate.
"GST on li-ion batteries to be reduced from 18 to 12 per cent to make it in-line with the GST on EVs which are already a 12 per cent. GST on all services related to charging (slow charging, fast charging, battery swapping) to be kept at 5 per cent," he said.
Meanwhile, Society of Manufacturers of Electric Vehicles (SMEV ) has demanded allocation of Rs 20,000 crore in the next two years for promoting EVs. Additionally, the industry body wants government to impose a "notional green cess " on conventional vehicles and also urged for time-bound execution of upcoming FAME scheme.“
FAME 2 must be announced with a six years plan and time bound implementation ,” said Sohinder Gill, Director General, SMEV.
For encouraging local production of EVs , Tarun Mehta, Co-Founder and CEO of electric two-wheeler firm Ather Energy underlined the areas where import tariffs margins need to be re-examined.
"We would like to see reduced import duties on lithium ion cells, motors and motor controllers. To encourage Make in India, we would recommend an increase in import duty for fully assembled batteries, since there are local options available in India," he said.
In the upcoming Budget, Mehta also seeks clarity on the GST refund process as its complexity is adding more complications to this inverted tax structure.

Reiterating SMEV views, he also underlined the need for strong hand holding from the government in terms of a policy framework. “Any policy intervention needs to be committed for 3-5 years. A lack of predictability in government policy becomes a deterrent for the industry to make long term investments, which impacts the growth of the industry,” Mehta added. https://auto.economictimes.indiatimes.com/news/industry/union-budget-2019-what-electricvehicle-industry-expects-from-the-government/67708877
Towards this end, Modi said, 11 oil PSUs have adopted the modern 'lignocellulosic' route for establishing twelve 2G ethnol plants in 11 states of the country.
PTI | January
27, 2019, 21:03 IST
KOCHI : Prime Minister Narendra Modi Sunday said the NDA government has taken
"decisive steps" to bring down crude oil import by 10 percent and save precious foreign exchange for the country.
Towards this end, Modi said, 11 oil PSUs have adopted the modern 'lignocellulosic' route for establishing twelve 2G ethnol plants in 11 states of the country.
"To cut down on import of Crude oil, government has taken decisive steps towards reducing imports by 10 per cent and saving precious foreign exchange," Modi said after dedicating to the nation an integrated refinery expansion complex of the public sector Bharat Petroleum Corporation Ltd at the Kochi Refinery here.
Six MoUs have already been signed in this direction, he said.
To overcome environment pollution , he said the Centre was promoting the use of environment-friendly transport fuel--CNG-- by expanding the coverage of City Gas
Distribution (CGD) network in the country.
After the successful completion of 10th CGD bidding Round, more than 400 districts of the country would be connected for providing piped gas supply , Modi said.
Referring to the National Gas Grid or Pradhan Mantri Urja Ganga project , he said it has also been created to have a gas-based economy and enhance the share of gas in the energy basket.
"The government has thought of developing additional 15,000 kilometers of gas pipeline network," he said.
Earlier, Modi laid the foundation stone for a petrochemical complex at the refinery and a skill development institute at Ettumanoor besides inaugurating a mounded storage vessel at the LPG bottling plant of the Indian Oil Corporation Limited here.
The Prime Minister, during his address after inaugurating the Kochi refinery expansion complex, dwelt at length on the petrochemical sector in the country.

"India, which is second largest oil refiner in Asia, is emerging as a refinery hub with refining more than its demand," he said adding the country's refinery capacity currently stood at more than 247 MMTPA.
He said the government had provided nearly six crore LPG connections to the poor people under the Ujjwala Yojana scheme since May, 2016 when it was launched.
He noted that over 23 crore LPG consumers had joined the PAHAL (the Direct
Benefit Transfer of LPG) scheme that has helped in identifying ghost, multiple and inactive accounts.
Modi said PAHAL had entered into the Guinness book of World record, being the largest direct benefit transfer scheme.
Recalling his childhood and youth when he had seen many mothers struggling with the fire-wood stove in the kitchen, Modi said ever since, he had always thought of improving their situation and providing healthy kitchens to the mothers and sisters of
India.
"The Ujjwala scheme of the Government of India is a way to realize this dream," he said.
Modi said the Indian refinery industry has done well in establishing itself as a major player globally.
By doubling the LPG production with the help of recent expansion , Kochi Refinery is making a great contribution towards Ujjwala, he said.
The Prime Minister said the Integrated Refinery Expansion Project was also a strategic move of Bharat Petroleum to diversify into non-fuel sector.
Observing that petro-chemicals are a grade of chemicals which we dont speak much about, the Prime Minister said "they exist invisibly and touch many aspects of our daily life."
This includes building materials, plastics and paints,foot-wear,clothing and other fabrics or auto-motive parts, cosmetics and medicines, he said.
Noting that most of these chemicals are imported from other countries, the Prime
Minister said, "it is our endeavour to see that these petro-chemicals are manufactured in India itself."
"I am happy that using the capability of Kochi Refinery to produce propylene after the execution of IREP, BPCL has gone ahead with putting up three world-class plants to manufacture acrylic acid acrylates and oxo alcohol under Make In India .
These petro-chemicals will find use in paints, inks, coating, detergent,and in many other articles," he said.
Reaching out to the labourers who worked day and night during construction of the

complex, he said, "I am told that at the peak of the project, over 20,000 labourers were working at the site. In many ways, they are the Real Heroes of the Project."
The integrated refinery dedicated by Modi is a modern expansion complex and is expected to transform the Kochi Refinery as the largest PSU refinery in the country with world class standards.
It is equipped with the technology to produce cleaner fuel, besides, being able to double the production of LPG and diesel.
Petrochemical complex at the BPCL Kochi refinery is a 'Make in India' initiative aimed at reducing dependence on imports.
The skill development institute at Ettumanoor in Kottayam district, backed by the
Ministry of Petrochemical and Natural Gas, would provide vocational training and enhance employability and entrepreneurship for deserving youth both in oil & gas and other industries.
This world class institute was being set up at an eight acre campus allocated by the state government and would have a capacity to skill around 1,000 youths annually in
20 different skills. https://auto.economictimes.indiatimes.com/news/oil-and-lubes/decisive-steps-being-taken-toreduce-crude-oil-import-by-10-per-cent-prime-minister/67712991
No subsidies or incentives were announced by the government
Saumy Prateek
February 1, 2019: The interim Budget 2019 was announced on February 1, 2019 by the interim Finance Minister Piyush Goyal. Like the previous two years, this year’s Budget also appears to have failed to cater to the domestic renewable energy sector.
In Goyal’s Budget speech in Parliament, there were only fleeting references to the renewable energy sector with the minister mostly talking about the major sectoral initiatives undertaken by the NDA government through the year.
Key Highlights from the Budget Speech
 By March 2019, all willing households will get an electricity connection.
 GST registered small and medium-sized enterprise units will get 2 percent interest rebate on incremental loan of ₹10 million (~$140,852).
 The requirement of sourcing from SMEs by government enterprises has been increased to 25 percent. Of this, the material to the extent of at least 3 percent will be sourced from women-owned SMEs.

 India will drive on Electric Vehicles with renewables becoming a major source of energy supply.
 India will lead the world in the transport revolution through EVs and energy storage devices, bringing down import dependence and ensuring energy security.
The year 2018 was rough for India’s renewable energy sector, especially solar.
The need for clarity on GST rates delayed many projects . The imposition of safeguard duty in the middle of the year led to many legal battles and increased the cost of solar projects. Cancellation of many auctions by state agencies also hampered the confidence of project developers in the government. Amid such uncertain times, the industry was waiting for the NDA-government’s last budget before the Lok Sabha polls, anticipating some big bang announcements for the sector.
Mercom previously reported that Budget could be an opportunity to help restore the confidence in stakeholders, announce further reforms, and steer the renewable energy industry in the right direction to meet the target of 175 GW of renewable energy by 2022 — a goal which was set by the NDA government in the beginning of its five-year term.
The interim Budget is devoid of any grants, incentives, or subsidies for the renewable energy sector, proving to be another damp squib for renewable energy sector in India . It is similar to the Union Budget 2018-19 and the 2017-
18 Budget which did not include any major subsidies or incentives for the renewable energy sector, and brought the sector much disappointment.
https://mercomindia.com/budget-2019-fails-to-meet-expectation-renewable-industry/
The interim Budget will be presented on February 1, 2019
Nitin Kabeer
January 30, 2019: The year 2018 was a tumultuous one for the solar industry.
Vague interpretation of the Goods and Services Tax (GST) rates led to a long period of confusion which in turn delayed many projects. Further, the imposition of safeguard duty in the middle of the year led to many legal battles and increased the costs of solar projects. Cancellation of many auctions by state agencies amid such uncertainties also hampered the confidence of solar developers in the government.
On February 1, 2019, the Narendra Modi-led NDA government will present an interim budget (also known as vote on account, which is slightly different from the regular budget). Usually, when the incumbent government is nearing the end of its term and an election is around the corner, it seeks the approval of Parliament to meet the ongoing expenditures of the government for the first four months of the fiscal year. Later, when a new government takes charge, a full budget is presented with revisions.
However, the BJP government, which is

confident of being reelected into power, is likely to propose a full budget, according to media reports.
With the current state of the market, the upcoming budget can be an opportunity to help restore the confidence in stakeholders, announce further reforms, and steer the solar industry in the right direction to meet the target of 175 GW of renewable energy by 2022 — a goal which was set by the NDA government in the beginning of its five-year term.
“In the 2019-20 Budget, we hope that the solar industry does not see any negative surprises, and taxes and duties remain stable. Additionally, we hope that the government continues to focus on reducing the corporate tax rate to help the country move towards a lower tax regime,” said Nikunj Ghodawat, CFO of
CleanMax Solar.
Rationalization of the GST tax structure has been a consistent demand of the industry as the conflicting rulings by state commissions have created confusion for solar developers. However, the GST council recently recommended that 70 percent of the gross value of supply of goods for solar power generating systems would attract a 5 percent tax and the remaining 30 percent, of the aggregate value of the EPC contract would be taxed at 18 percent.
“ Currently solar panels are in the 5 percent bracket whereas other balance of system (BOS) components are in the 18 percent bracket. This causes the blockage of funds in reverse tax credit
,”
Deepak Jain, president of sales at Goldi Solar told Mercom.
He also suggested that the government should focus on policy matters rather than giving complete attention to expenditure targets
. “
If policy direction is right, the investments made in the solar sector will be stable and prove fruitful for manufacturers, developers and lenders,” he added.
Pranav Mehta, Chairman of the National Solar Energy Federation of India
(NSEFI) believes that the GST ratio of 70 percent and 30 percent is too high and the government should use this occasion to make it 90 percent and 10 percent.
As reported previously by Mercom , the 2017-18 budget reduced the accelerated depreciation to 40 percent from the then prevailing 80 percent. But many industry players now want it to be restored to 80 percent.
“The rate of accelerated depreciation on solar power plants had been reduced from
80% before FY 17-18, to 40% in FY 17-18. Last year, the government had reduced the corporate tax rate from the levels of 35% to 25%. This has directly diluted the impact of the time, the value of money and benefits resulting from the 40% depreciation deduction. A balancing reform is required and depreciation allowed on solar assets should be increased so that benefits to the end customer gets restored. This would help in reducing the payback period for Commercial &

Industrial customers and would make solar a viable option for them, ” said Ashit
Maru, co-founder of MYSUN.
What are the budget expectations of the solar inverter industry? Abilash Nair of
ABB tells us, “Chinese inverters are being dumped onto the Indian market, which is affecting local manufacturing. The government should introduce a rating system, such as tier 1 and tier 2, based on the technology and efficiency of the inverter.
This will greatly benefit Indian manufacturers.”
Here are some of the other expectations of the solar industry from the upcoming budget:
 Measures to announce sops (incentives) for export of solar products (like

China)
Level-playing field for all solar players, boosting healthy competition rather than creating policies to favor manufacturers
 Make it mandatory for all electricity distribution companies (state
DISCOMs or private distribution licensees) to synchronize with solar players and treat them as partners and not as competitors
 Draft specific policy for electric vehicles and their charging infrastructure as
 it would be imperative to shift to EVs in the coming decade
Provide financial support for research, development, and technological innovations in the solar energy sector
 Higher budget allocation to improvise grid-infrastructure and increase wider
 penetration of Kisan Urja Suraksha evam Utthaan Mahabhiyan
(KUSUM) program
 Issue clarifications on imports from China and other countries
Provide a boost to the backward/forward integration of solar manufacturers, completing the entire value chain
 Non-banking financial companies and banks should provide innovative and tailor-made financing solutions to solar sector (read ‘ financing clean
 energy – ORF)
Rationalization of tax structure – corporate tax, MAT, income tax, etc.
 Ministry of Finance should act on the standing committee recommendations and utilize the funds to promote domestic

 manufacturing in the sector
Indigenously manufactured rooftop solar systems to be made compulsory on all government, local bodies and semi-govt buildings
Solar energy should be given a core sector industry status
Previous budgets have been rather disappointing for the solar industry. No specific incentives, subsidies or grants were announced for the Ministry of New and
Renewable Energy (MNRE) in the Union Budget 2018-19.
However, it has provided some relief to module importers by abolishing the customs duty on tempered glass.

The 2017-18 Budget also did not include any major subsidies or incentives for the renewable energy sector. A provision of ₹7.45 billion (~$109.86 million) in 2017-
18 in incentive programs like Modified Special Incentive Package Scheme and
Electronic Development Fund (EDF) was provided to develop India into a global hub ecosystem for electronics manufacturing, including solar manufacturing. But these incentive-based programs never saw the light of the day.
“After last year’s budget, which did not have much for the renewable sector, expectations are very low this year especially considering this is a pre-election budget. The industry is not expecting any subsidy or tax relief in this budget.
Anything positive announced will be an unexpected bonus ,” said Raj Prabhu,
CEO of Mercom Capital Group.
Nitin Kabeer
Nitin is a staff reporter at Mercomindia.com and writes on renewable energy and related sectors. Prior to
Mercom, Nitin has worked for CNN IBN, India News, Agricultural Spectrum and Bureaucracy Today. He received his bachelor’s degree in Journalism & Communication from Manipal Institute of Communication at Manipal University and Master’s degree in International Relations from Jindal School of International
Affairs.
https://mercomindia.com/budget-2019-expectations-solar-industry/
While the budget does not clearly spell out the policy support going forward, it has set a positive note for the sectors which found a fleeting reference in Goyal's budget speech.
Nishtha Saluja | ET Bureau | February 02, 2019, 07:48 IST
New Delhi: The interim budget announced Friday has pegged renewable energy and electric vehicles as the key drivers behind reducing India’s import dependence as the government drives towards attaining energy security.
In laying down the roadmap for the country over the next 10 years, Finance minister Piyush Goyal said, “ India will lead the world in the transport revolution through electric vehicles and energy storage devices, bringing down import dependence and ensuring energy security for our people.”
While the budget does not clearly spell out the policy support going forward, it has set a positive note for the sectors which found a fleeting reference in
Goyal's budget speech.
“At Softbank, we support the “Clean and Green India” in Vision 2030 of the

government for electric vehicles and renewable energy . We will continue to invest in the renewable energy projects floated by the central government as well as for the large scale industrial requirements of the private sector and
MNCs,” said Manoj Kohli, executive chairman of Softbank-led SB Energy.
The budget announcement assumes importance as the capital chokes amid alarming levels of air pollution, and India looks to address the larger issue of climate change .
“Through continued support for renewables, EVs will benefit. India might set a precedent in EVs being powered predominantly by renewable energy, as compared to coal based thermal power,” said Vineet Mittal, Chairman of
Avaada Group.
For electric vehicles to be a norm of the future, policies should include how
EVs can be powered by renewable energy, said Nikunj Ghodawat, CFO,
CleanMax Solar.
“What we will wait to see is, finer print on the renewable industry like uniformity in policies, imposition of duties, ease of financing etc. to reduce dependence on deplete-able energy resources, thereby fueling adoption of renewable energy,” Ghodawat added. https://energy.economictimes.indiatimes.com/news/renewable/budget-emphasises-onrenewables-evs-for-indias-energy-security/67802341
Some renewable energy sector players have expressed their disappointment on the
Budget, saying it provided no ray of hope as there was no policy directive to promote manufacturing, especially renewables, when there is a scarcity of funding for clean energy projects .
PTI | February 02, 2019, 07:58 IST
New Delhi: Union Minister of State for Power and New & Renewable Energy R K
Singh Friday called the Budget 2019-20 "historic, people-friendly and forwardlooking" as it provides assistance to all needy sectors while maintaining fiscal prudence.
However, some renewable energy sector players have expressed their disappointment on the Budget, saying it provided no ray of hope as there was no policy directive to promote manufacturing, especially renewables, when there is a scarcity of funding for clean energy projects.

"Interim Budget 2019-20 is historic, it's people-friendly and forward-looking. It provides assistance to all sectors which need assistance at the same time maintaining fiscal prudence," said Singh said in a statement.
He expressed hope that the Budget would be able to bring smile to every face.
The country's electrification success found a special mention in Finance
Minister Piyush Goyal's Budget Speech.
The finance minister said: "Till the year 2014, about 2.5 crore families were forced to live the life of 18th century without electricity. Under Saubhagya Yojna , we provided free electricity connection to almost every household. By March 2019, all willing families will get electricity connection."
Goyal also thanked the taxpayers saying, "Your tax pays for the electricity connections to the poor who lived in darkness for generations".
On the UJALA scheme, the finance minister said 143 crore LED bulbs have been sold with the combined efforts of the government and the private sector and this has resulted into a saving of about Rs 50,000 crore per year in electricity bills of poor and middle-class families.
Goyal in his maiden Budget Speech also stressed upon electric vehicles and renewables to make India a pollution-free nation.
Citing the International Solar Alliance as example of India's commitment towards clean energy, the finance minister said: "India's installed solar generation capacity has grown over 10 times in past five years. This sector is now creating lakhs of new age jobs."
Commenting on the Budget, Amit Gupta, director of legal and corporate affairs,
Vikram Solar, said : "In a situation where there is scarcity of financing options for renewables and manufacturing units are dying a slow death, the Budget provides no ray of hope."
Gupta further said : "The industry was expecting a policy directive from the government to promote manufacturing, especially in the renewable energy sector, in the background of job crisis, which India is facing right now. Surprisingly, this was completely missing from the Budget."
He also said the budgetary allocation for the Ministry of New and Renewable Energy remained almost the same as the capital allocated in 2018-19, standing at Rs 5,200 crore.
" Unfortunately, the government did not act upon the Parliamentary Standing
Committee recommendation of the reinstatement of the funding for renewable energy projects through the National Clean Energy Fund (NCEF), which was

diverted towards the GST (goods and service tax) Compensation fund since 2017," he added.
Sohinder Gill, director general of the Society of Manufacturers of Electric
Vehicles (SMEV), said: "The EV (electric vehicle) industry welcomes our finance minister's commitment towards making the country pollution-free, in his budget speech.
" We hope the government would soon announce a concrete plan of action with its time-bound implementation in order to fulfil its stated vision . The SMEV feels that an initial high dose of incentives and actions must be taken in the next one or two years to relaunch the electric mobility mission that has sort of lost steam in the recent years due to flip-flop of policies." KKS HRS https://energy.economictimes.indiatimes.com/news/renewable/r-k-singh-lauds-budget-renewablesplayers-say-no-policy-directives/67802385
By: Prasanta Sahu | Published: February 2, 2019 3:45 AM
Soon after coming to power in May 2014, Modi announced Pradhan Mantri Mudra
Yojana (PMMY) to provide finance to non-corporate and non-farm small businesses.
The Modi government devised a clutch of welfare schemes, many reflecting an approach of incrementalism rather than anything radical or avante garde. MUDRA, PM Jan Arogya,
Ujjwala and Fasal Bima were the most prominent among such Yojanas that it launched and tried to vigorously implement with apparent emancipatory zeal.
An analysis shows that these schemes helped further the goals of financial inclusion, targetted delivery of government services and streamlining of existing schemes for better outcomes.
Soon after coming to power in May 2014, Modi announced Pradhan Mantri Mudra Yojana
(PMMY) to provide finance to non-corporate and non-farm small businesses. Between
FY16 and FY19 (till January 18, 2019), the lenders have disbursed Mudra loans (not exceeding Rs10 lakh) to the tune of Rs7.27 lakh crore. PMMY NPAs as on March 31,
2018 for public sector banks were only 3.43% of the amount disbursed under the scheme.

Modi has already showcased the scheme as a success story that made formal banking system more accessible to small businesses. According to the government data, almost
75% of all PMMY loans have been to women borrowers.
Another schemes that helped address the health issues of rural women folk due to use of conventional cooking fuels like wood and cow dung cakes was the Pradhan Mantri
Ujjwala Yojana (PMUY). Under this, cooking gas connections are being provided to unserved households and as on January 2, 2019, 6 crore LPG connections have been provided. PMUY was launched on May 1, 2016 , with a target to give 5 crore connections by March 2019. The target was later raised to 8 crore connections by 2021.
Thanks to the scheme, coverage of LPG connections has jumped from 55% in 2014 to 90% now.
Rather late came its flagship healthcare scheme, PMJAY which envisages Rs5-lakh-ayear free health cover to 10.7 crore households. Since its launch on September 25, 2018, the scheme has provided about 10 lakh people with free secondary and tertiary hospitalisation services across the country.
However, it won’t reach each identified household in FY19 due to delays in roll-out.
As regards the Pradhan Mantri Fasal Bima Yojana (PMFBY) to make crop insurance more effective and sustainable, claims paid to farmers for crop damages rose from
Rs5,159 crore FY10 to Rs7,376 crore in FY14, the terminal year of UPA-2. Revitalisation of the scheme saw claims paid rise from Rs6,744 crore in FY15 to Rs16,772 crore in
FY18 (amount would be higher when Rabi data is added). The Modi government might announce some measures in the Interim Budget to make PMFBY more attractive for nonloanee farmers. The insurers are estimated to have made a surplus ofRs9,500 crore in the first three crop seasons (for which full data is available), their profit could be around
Rs5,000 crore after factoring in at least 10% (of the gross premium) expenditure on reinsurance etc. Claims paid were 64% of the gross premium collected for kharif 2016,

the first year of the PMFBY, while it was 84% in kharif 2017. However, payout ratio
(claims to claims settled ratio) fell from 99.4% in kharif 2016 to 96.4% in kharif 2017.
After a lacklustre start, the Pradhan Mantri Rojgar Protsahan Yojana (PMRPY), the Modi government’s flagship scheme to catalyse formal-sector job creation launched in August
2016, has slowly picked up momentum and the pace has accelerated in the current fiscal.
While only 33,000 people could be brought under the scheme by the end of 2016-17, the number of beneficiaries has now crossed the 1-crore threshold. https://www.financialexpress.com/budget/budget-2019-from-mudra-to-ujjwala-welfare-schemesgalore-under-modigovt/1472396/?utm_source=Mailer&utm_medium=ET_batch&utm_campaign=etenergy_news_201
9-02-02
India is one of the world's largest consumers of coal and rising imports of the fuel are adding to a burgeoning trade deficit, prompting the government to invest in developing more domestic resources.
REUTERS | February 02, 2019, 08:46 IST
Delhi: The Indian government will increase spending on exploration of coal and lignite by 20 percent in the coming financial year but will slash funding for coal mine safety and conservation , according to the budget document released on
Friday.
India is one of the world's largest consumers of coal and rising imports of the fuel are adding to a burgeoning trade deficit, prompting the government to invest in developing more domestic resources.
In the 2019/20 financial year that begins in April, the government aims to spend 6 billion rupees ($84 million) on exploration of coal and lignite, the document for the
2019/20 budget showed.
At the same time, it will cut spending on conservation, safety and related infrastructure development by about a third from last year to 1.35 billion rupees, according to the document.
India is one of the most dangerous countries in the world to be a coal miner, with one miner dying every six days on average in 2017, according to government data , but this will be the second straight year that the government has cut spending on safety .
The coal ministry said that coal companies had their own safety budgets.
State-run Coal India Ltd has a near monopoly, producing over four-fifths of the

country's coal output. It allocated 8.6 billion rupees for safety-related expenditure for the year ending March 2019, up from 8 billion rupees a year earlier, the ministry said in an emailed statement to Reuters.
It did not say how much it would allocate for safety-related spending in 2019/20.
India scrapped a separate excise duty levied on coal companies, which was used by the federal coal ministry to shore up funds for enhancing safety , after it reformed tax policies in 2017.
The coal ministry said it had increased spending for exploration in 2019/20 to develop more coal blocks to increase domestic coal production and minimize imports. (what about quality of coal)
"This will also enable (the) release of more coal blocks for auction/allocation," the ministry said.
In 2018, India's thermal coal imports rose at the fastest pace in four years, according to two industry sources, despite moves by Prime Minister Narendra Modi 's government to cut imports. https://energy.economictimes.indiatimes.com/news/coal/india-ramps-up-spending-on-coalexploration-as-it-slashes-funds-for-mine-safety/67802749
2 min read .
Updated: 01 Feb 2019, 08:19 PM IST Tanya Thomas
 The only large infrastructure segment to benefit at all from the interim budget is power distribution
 Total allocations to the distribution segment rose 8.5% year-on-year to Rs. 12,021 crore
NEW DELHI: Despite Piyush Goyal’s grandstanding on renewable energy during his Budget speech, actual allocations for the sector are lower in the year ahead.
While the revised estimates for FY18-19 show that the government spent a combined ₹3340 crore on wind and solar energy sectors and green energy corridors, the allocation for the same falls to ₹3310 crore in FY19-20. The wind sector, particularly, has fallen out of favour, taking a 24% hit in allocations.
This is far from Goyal’s statement on the floor of the House where he said that
“India provided leadership to the global effort to address the problem of climate change. Our commitment to promote renewable energy is reflected in setting up the International Solar Alliance."

In fact, the only large infrastructure segment to benefit at all from the interim budget is power distribution, keeping in line with the Modi government’s promise to bring power to all through the Deen Dayal Upadhyaya Gram Jyoti Yojna and the
Integrated Power Development Scheme (IPDS). Total allocations to the distribution segment rose 8.5% year-on-year to ₹12,021 crore.
“What the government is saying and what the government is doing are completely different things when it comes to renewable power," Shashi Shekhar, Vice-
Chairman at solar developer ACME, told Mint. “Every investor needs certainty in the industry but with renewable energy, changes come at the drop of a hat.
Unless you create a good environment, how do you expect the country to achieve its renewable energy targets? The government has set mega targets (227 GW of renewable power by March 2022) but the government is not playing any facilitative role – in terms of policy or taxation stability, access to financial institutions - beyond this.
“Unfortunately, this government does not see renewables as mainstream power source. So for the renewables sector, this is a disappointing budget," Shekhar added.
In fact, this is the third consecutive year under the Modi government that renewables have received short shrift. In the budgets of both 2017-18 and 2018-
19, the renewables sector was left disappointed and the government failed to offer any subsidies or incentives to the sector.
Sumant Sinha, Chairman and Managing Director of ReNew Power Ltd , had said before the budget that the government should focus its energy on providing tax reliefs for renewable companies s o as to increase their investment appetites , rationalise GST rates on key inputs for the sector and bring in a special financial package to encourage rooftop solar installations.
None of those have been touched upon.
Girishkumar Kadam, sector lead for power and renewables, ICRA, said: “The government’s focus is on rural electrification and it wants to control losses for utilities, hence boosting support under IPDS. With rural electrification, the programme has been one for 2-3 years and the government wants to complete
100% by March 2019 . For renewables, the only significant increase in allocation is

for building green energy corridors – which is setting up transmission infrastructure strictly for evacuation of renewable power .
The programme was launched 3 years ago but work is progressing at a slow rate.
But besides this, renewables needs allocation for newer technologies such as battery storage, offshore wind projects, floating solar etc and the budget has given no direction for any of this."
PLUS PAWAN GOENKA VIDEO ON BUDGET https://www.livemint.com/budget/news/budget-ignore-renewables-sector-for-the-third-timerunning-1549026778574.html
Lots of hints dropped but no concrete proposal
By Priya Sreenivasan
Last Updated: Friday 01 February 2019
The interim budget, or vote on account, presented on February 1, 2019, had little in store for the energy sector.
While reviewing the achievements made in the previous years, Union minister
Piyush Goyal, who stood in for finance minister Arun Jaitley, lauded the increase in installed solar capacity by a factor of 10, as well as the creation of the Indiaheadquartered, International Solar Alliance, as symbols of India’s leadership in the renewable energy sector.
The Ujjwala scheme, which aims to provide 8 crore free LPG connections to rural households, is still 2 million shy of the target, with two months to the deadline.
Likewise, the Saubhagya scheme, which aims to provide free electricity connections to all households, also found mention. However, none of these programmes saw any target revisions or budgetary allocations in the interim budget.

The lack of mention of the recent troubles posed to the renewable sector, or the more complicated picture behind the implementation of Saubhagya and
Ujjwala schemes, seemed conspicuous.
Renewable developers have to wait for the full budget for further clarity on Goods
& Services Tax (GST), import duties or tax relief of any sort. However, the budget speech was strewn with hints regarding the incumbent government’s direction for the sector in the next five years.
Energy security and reducing dependence on imported oil was stressed on multiple times; renewable energy generation will have to increase significantly. More categorically, Goyal stated that electric vehicles (EV) and storage systems were of utmost importance for the country’s future.
It remains to be seen how this will translate to government support in the full budget. For now, the status quo will prevail till the elections conclude. https://www.downtoearth.org.in/news/energy/interim-budget-2019-renewable-energy-plans-onhold-till-full-budget-63050
Going by the speech, no subsidy scheme was announced which was anticipated by the Indian auto industry ETAuto | February 01, 2019, 15:19 IST
NEW DELHI: Electric vehicle which has been a prime focus to reduce pollution and oil import bills could only find a mention in Finance Minister's budget speech. However, the detail are yet awaited.
Going by the speech, no subsidy scheme was announced which was anticipated by the Indian auto industry. However, the industry is hopeful about the government's longer-term commitment to the use of clean energy in the transportation sector.
In his speech, Piyush Goyal , Interim Finance Minister said, "An India that drives electric vehicles, with renewables becoming the major source of energy, bringing down import dependence and increasing energy security for our people".

"Finance Minister Piyush Goyal’s mission of bringing an Electric Vehicle revolution to India by 2030 is a truly path-breaking and will surely provide much-needed impetus to the industry. The gover nment’s focus on the use of clean energy in the transportation sector would certainly help our country tackle the issue of climate change," said Society of Manufacturers of
Electric Vehicles (SMEV) , President, Sohinder Gill.
He added, "EV industry welco mes our honourable Finance Minister’s commitment towards making the country pollution free, in his budget speech
2018-2019. We hope the government would soon announce a concrete plan of action with its time-bound implementation in order to fulfil its stated vision.
SMEV strongly feels that an initial high dose of incentives and actions must be taken in the next 1 or 2 years to relaunch the electric mobility mission that has sort of lost steam in the recent years due to flip flop of policies says, Gill,
Earlier, it was anticipated that the Faster Adoption and Manufacturing of
Hybrid and Electric Vehicles (FAME) scheme will find the place in Union
Budget 2019 . https://energy.economictimes.indiatimes.com/news/power/electric-vehicle-just-finds-a-mention-inunion-budget/67791668
SMEV's reaction comes after Finance Minister Piyush Goyal on Friday said India would lead the world in transportation sector, with EVs and energy storage devices set to play a leading role in the segment PTI | February 01, 2019, 17:11 IST
New Delhi : Electric vehicle manufacturers on Friday said the government should come up with a concrete action plan and its time-bound implementation if the country aspires to become a leader in transport revolution through electric vehicles (EVs).
"We hope the government would soon announce a concrete plan of action with its time-bound implementation in order to fulfil its stated vision," Society of
Manufacturers of Electric Vehicles (SMEV) Director General Sohinder Gill said in a statement.
SMEV strongly feels that an initial high dose of incentives and actions must be taken in the next 1 or 2 years to relaunch the electric mobility mission that has run out of steam in recent years due to flip flop of policies, he added.
SMEV's reaction comes after Finance Minister Piyush Goyal Friday said India would

lead the world in transportation sector, with EVs and energy storage devices set to play a leading role in the segment.
Presenting the interim budget for 2019-20 in the Lok Sabha , Goyal also said the usage of such green technologies would help the country become self reliant in terms of energy requirements.
Lohia Auto Industries CEO Ayush Lohia said considering the environment concerns, the company was expecting "something concrete in the 2019 budget".
"Moreover, to meet the target of 2030 the government needs to plan today instead of giving the electric vehicles a push at a later stage," he added.
Avis India MD and CEO Sunil Gupta said the Budget was largely silent on concrete incentives for EVs.
"But we hope that in the next FAME policy, the government will spell out incentives for all stakeholders in the EV ecosystem - manufacturers, charging infrastructure providers and operators," he added.
Toyota Kirloskar Motor Vice Chairman & Whole-time Director Shekar
Viswanathan applauded the government on EV drive towards reducing fuel import.
"We would further continue our concerted efforts in this direction to boost sustainable mobility to enhance ever-better and comfortable living of the society. The vehicle emission based tax regime would boost this EV vision, towards achieving a cleaner and greener environment," he noted.
Twenty Two Motors Co-Founder and CEO Parveen Kharb said the import duty reduction on electric vehicle components will further reinforce and lead to wider acceptance of electric vehicles. https://energy.economictimes.indiatimes.com/news/power/budget-2019-manufacturers-seekimmediate-action-plan-on-evs/67793827
The deficit for the year ending on March 31 was expected to come in at 3.4 percent of gross domestic product (GDP), slightly higher than the targeted 3.3 percent, the country's acting finance minister Piyush Goyal told the Lok
Sabha.
REUTERS | February 01, 2019, 13:30 IST
New Delhi: India set a fiscal deficit target of 3.4 percent of gross domestic product (GDP) for 2019/20, higher than a previous estimate, and also said it would breach this year's target, as an interim budget presented on Friday boosted spending for the rural sector.

The deficit for the year ending on March 31 was expected to come in at 3.4 percent of gross domestic product (GDP), slightly higher than the targeted 3.3 percent, the country's acting finance minister Piyush Goyal told the Lok Sabha.
The new targets the government had slipped from its earlier commitment to bring down the fiscal deficit to 3.1 percent of GDP by the end of March 2020, and to 3 percent by March 2021.
The higher 2019/20 fiscal deficit target is due to "need for income support for farmers", Goyal said, delivering the Hindu nationalist-led government's last budget before an election that must be held by May.
The deficits were widely expected to be higher than targeted due to a combination of revenue shortfalls and increased spending ahead of the election. https://energy.economictimes.indiatimes.com/news/power/budget-2019-india-lets-fiscal-deficittargets-slip-this-financial-year-and-next/67789832
While presenting the Interim Budget 2019-20 in the Lok Sabha, Goyal said the dimensions will pave the way for the country to turn into a modern, high-growth and transparent society IANS | February 01, 2019, 14:16 IST
New Delhi: Harping on Indias aspiration to become a $10 trillion economy in the next decade, Finance Minister Piyush Goyal laid out the 10 "most importunate dimensions" of the Modi governments " Vision 2030 ".
While presenting the Interim Budget 2019-20 in the Lok Sabha, Goyal said the dimensions will pave the way for the country to turn into a modern, high-growth and transparent society.
Goyal said building next generation infrastructure in all sectors comprising roads, railways, seaports, airports and inland waterways is the first dimension to provide an
"ease of living".
The second is to build a " Digital India " that reached every corner of the economy and every citizen.
Clean and Green India is the third dimension - " an India that drives electric vehicles, with renewables becoming major source of energy, bringing down import dependence and increasing energy security for our people", the Minister said.
The fourth dimension he listed was expanding rural industrialization using modern industrial technologies, based on the ' Make In India ' approach, using grassroot
MSMEs and startups across the country.

"India is now on its way to becoming a global manufacturing hub in many sectors ."
The fifth dimension , he said, was "Clean Rivers", with safe drinking water to all
Indians using micro-irrigation techniques.
"Oceans and coastlines" is the sixth dimension followed by the seventh, which is
"India becoming a launchpad of the world by placing an Indian astronaut in space by
2022".
The eighth dimension is "self-sufficiency in food and improving agricultural productivity with emphasis on organic food".
A healthy India, with a distress-free and comprehensive wellness system for all, is the ninth dimension.
He listed "Minimum Government, Maximum Governance" as the 10th dimension, with proactive, responsible, friendly bureaucracy and electronic governance. https://energy.economictimes.indiatimes.com/news/power/budget-2019-goyal-lays-out-10dimensions-of-centres-vision-2030/67790590
Presenting the Budget for 2019-20 in the Lok Sabha, Goyal said "we conducted transparent auction of natural resources including coal and spectrum. We have walked the talk".
PTI | Updated: February 01, 2019, 17:17 IST
NEW DELHI: Finance Minister Piyush Goyal Friday said the NDA government has conducted transparent auction of natural resources including coal and has
"walked the talk".
Presenting the Budget for 2019-20 in the Lok Sabha, Goyal said "we conducted transparent auction of natural resources including coal and spectrum. We have walked the talk".
Goyal said this while explaining the steps taken by the government against corruption.
"We have ushered in a new era of transparency. We have given a corruption free government," the minister said while delivering the Budget speech.
The coal mines auction was conducted for the first time by the present NDA government in the year 2015.

The Parliament passed the Coal Mines (Special Provisions) Bill 2015 on
March 20, 2015.
Under the provisions of the Coal Mines (Special Provisions) Act, 2015 and
Rules made there under, so far 85 coal mines have been successfully allocated.
Of these 85 coal mines, 25 have been allocated through electronic auction and 60 have been allocated to Government Companies through allotment. https://energy.economictimes.indiatimes.com/news/coal/govt-walked-the-talk-carried-successfulauction-of-natural-resources-including-coal-goyal/67793394
Industry leaders said this year's Budget has shown the government's commitment for improving the environment by promotion of clean energy and electric vehicles Ankush Kumar | ETEnergyWorld | Updated: February 01, 2019, 17:35 IST
New Delhi: The Interim Budget for 2019-20 has received mixed reactions from the renewable energy industry.
Renewable energy manufacturing units are dying a slow death due to scarcity of financing options, says Amit Gupta, a director at Vikram Solar. "Budgetary allocation for MNRE remains approximately similar to capital allocated in FY 2017-18, standing at Rs 5,200 crore. Unfortunately, the government did not act upon the
Parliamentary Standing Committee recommendation of reinstating the funding of renewable energy projects through National Clean Energy Fund , which was diverted towards GST compensation fund since 2017,” Gupta added.
Other industry leaders said this year's Budget has shown the government's commitment for improving the environment by promotion of clean energy and electric vehicles.
" Electric vehicles and rooftop plants are going to provide the much-needed respite to the deteriorating environment in our urban areas. We look forward to concrete steps for promotion of rooftop solar and electric vehicles so that every common person starts adopting these lifetransitioning technologies,” said Sanjeev Aggarwal , founder and CEO, Amplus Energy.
Sunil Rathi, director at solar module manufacturing firm Waaree Energies applauded the centre's 2030 Vision of reducing dependence on imports for fossil fuel needs and developing solar power as a prime source of energy. The Budget provisions will help reduce imports, thus strengthening the rupee and contributing to nation's gross domestic product, he said.

Sharing the governments long-term vision, interim Finance Minister Piyush Goyal in his Budget speech talked about making renewables a major component of the
Indian energy sector and strengthening the energy storage infrastructure . https://energy.economictimes.indiatimes.com/news/renewable/budget-2019-renewable-energyindustry-gives-mixed-reaction/67793006
The expenditure on petroleum subsidy in the first six months of the current financial year has already crossed 83 per cent of the budgeted allocation of Rs
24,933 crore Bilal Abdi | ETEnergyWorld | February 01, 2019, 07:57 IST
New Delhi: The government’s petroleum subsidy allocation for the next financial year must be between Rs 37,000 crore and Rs 50,000 crore taking into account expected levels of average crude oil prices and the exchange rate, experts say.
“
Considering the exchange rate to be around Rs 72 and crude oil prices to average around $65 per barrel the government should allocate Rs 50,000 crore as petroleum subsidy for financial year 2019-20 ,” said K Ravichandran, Senior Vice President at
ICRA.
The government had budgeted for an overall petroleum subsidy of Rs 24,933 crore for financial year 2018-2019 , a mere 1.93 per cent increase over Revised Estimate of Rs 24,460 crore allocated for 2017-2018. The oil ministry now expects underrecoveries of oil firms for the current fiscal to reach Rs 45,781 crore, according to the ministry’s latest monthly summary report.
“The expected under recoveries/subsidy for FY 2018-19 in respect of
PDS Keroseneand Domestic LPG (Under DBTL) is Rs 6,919 crore and Rs
38,862 crore respectively, ” the report said.
A different estimate shows the petroleum subsidy for this fiscal may shoot up to Rs
34,000 crore as global crude oil prices are easing in the second half of the year after the spike witnessed in the first half. According to Bhanu Patni, an Analyst at India
Ratings and Research, the government may allocate Rs 35-37,000 crore as petroleum subsidy for next fiscal with oil prices likely to remain between $55-
65 per barrel.
“Ind-Ra expects the bulk of the subsidy to be borne by the government as against
FY19 when the government, for a brief period, asked oil marketing companies to absorb marketing operations-related losses
,” the ratings agency said.
The government’s expenditure on petroleum subsidy in the first six months of the

current financial year has already crossed 83 per cent of the budgeted allocation of Rs 24,933 crore. The government spent Rs 20,672 crore in the April-September
2018 period as compared to Rs 11,352 crore spent in the corresponding period a year ago, data published by the oil ministry’s statistical arm showed. https://energy.economictimes.indiatimes.com/news/oil-and-gas/budget-2019-govt-must-allocateup-to-rs-50000-crore-for-petroleum-subsidy/67783275
The revised estimate of petroleum subsidy, mainly meant for cooking gas and
Kerosene, for the current fiscal stands at Rs 24,833 crore as against the budgeted estimate of Rs 24,933 crore Bilal Abdi | ETEnergyWorld | February 01, 2019, 17:36 IST
New Delhi: The government is budgeting for a mammoth 51 per cent jump in overall petroleum subsidy expenditure at Rs 37,458 crore next financial year (2019-
20), the Budget documents tabled in Parliament today show.
The revised estimate of petroleum subsidy, mainly meant for cooking gas and Kerosene , for the current fiscal stands at Rs 24,833 crore as against the budgeted estimate of Rs 24,933 crore , leading experts to raise concerns over the balance shortfall.
“As per our estimate, there may be a shortfall of around Rs 17,000 crore in fuel subsidy provided for 2018-19 versus the subsidy provided of Rs 24,833 Cr (RE).
Depreciation of the Rupee against the Dollar and the rise in crude prices in
Year-to-Date, have contributed to the shortfall,” said K Ravichandran, Senior Vice
President at research and ratings agency ICRA .
He added that the under provision of subsidy will be marginally credit negative for state-owned oil marketing and Exploration and Production companies (E&P).
“Options available to the government will be to either defer the subsidy payments to oil companies to the next fiscal, with appropriation from 2019-20 budgetary allocation or ask the downstream or upstream companies to bear part of the subsidy,”
Ravichandran said.
Interestingly, the oil ministry’s statistical arm Petroleum Planning and Analysis
Cell (PPAC) said in its monthly summary report for December the under recoveries of oil firms are expected to reach Rs 45,781 crore in 2018-19.
“The expected under recoveries/subsidy for 2018-19 in respect of PDS Kerosene and
Domestic LPG (Under DBTL) is Rs 6,919 crore and Rs 38,862 crore respectively,” the report said.
The adequacy of the government’s allocation of petroleum subsidy for 2019-2020 will depend on crude oil prices and the Rupee’s exchange rate against the dollar. “For
2019-20, the shortfall in subsidy could be around Rs 7,000 crore if the crude price

and INR/USD were to be $70/bbl and 72 respectively. There could be a surplus if the crude was to be below $67 per barrel at a similar exchange rate,” Ravichandran said.
He added that the budget announcement on the impending changes in bidding framework for new Oil & Gas blocks in order to boost domestic production will be a positive development for the sector. Also, the continued emphasis on providing free
LPG connections under Ujjwala Yojana will be a positive event for the governmentowned OMCs as the same will lead to faster growth in LPG sales. https://energy.economictimes.indiatimes.com/news/oil-and-gas/budget-2019-petroleum-subsidyhiked-51-to-rs-37478-crore-for-2019-20/67794345
Finance minister Piyush Goyal in his budget speech in Parliament today said the government is concerned over rising oil imports and is implementing a revamped bidding regime for oil and gas blocks to boost output.
Bilal Abdi | ETEnergyWorld | February 01,
2019, 20:50 IST
New Delhi: The interim budget has proposed a capital outlay of Rs 93,639 crore for oil and gas companies for the next financial year (2019-20). This would be the lowest spending done by the state-owned petroleum sector giants combined in the past four fiscal years, a detailed ETEnergyworld analysis of the budget papers revealed.
The decline in spending comes at a time the government has increased focus on ramping up domestic output to cut costly oil imports. Finance minister Piyush Goyal in his budget speech in Parliament today said the government is concerned over rising oil imports and is implementing a revamped bidding regime for oil and gas blocks to boost output.
According to the Expenditure Budget document, the Exploration and Production
(E&P) segment’s overall capital outlay is seen dropping 6.69 per cent to Rs 49,057 in
2019-2020 from Rs 52,575 crore spent in 2018-2019, as per the Revised Estimate figures.
The Refining and Marketing segment has witnessed a 6 per cent increase in capital outlay at Rs 39,390 crore for the next financial year as compared to Rs 37,136 crore

spent in 2018-2019, as per the Revised Estimate figures made public today.
The petrochemicals sector has also witnessed an increase in capital outlay to Rs
3,980 crore, a 21.41 per cent jump over Rs 3,278 crore likely to be spent this fiscal year ending March 2019.
The capital outlay for Oil and Natural Gas Corporation (ONGC), the biggest spender among oil and gas Public Sector Undertakings (PSUs), is seen falling 0.26 per cent to Rs 32,921 crore in 2019-2020 from Rs 33,007 crore likely to be spent this fiscal.
For Indian Oil Corporation (IOC), the country’s largest fuel retailer and the secondbiggest spender among oil and gas PSUs, capital outlay is budgeted to drop marginally to Rs 25,084 crore in 2019-2020, as compared to Rs 25,582 crore spent in 2018-2019 as per the Revised Estimate.
The capital outlay for Hindustan Petroleum Corp (HPCL) is seen rising 13 per cent to
Rs 9,500 crore for financial year 2019-2020, as compared to Rs 8,425 crore estimated to be spent in the current fiscal.
The government has also budgeted for a 7 per cent increase in the capital outlay for
Bharat Petroleum Corp (BPCL) at Rs 7,900 crore for 2019-2020, as against an expenditure of Rs 7,400 spent in the Revised Estimate for the current fiscal.
Capital expenditure by Oil India Ltd (OIL), the second-largest state-owned petroleum explorer, has been pegged at Rs 4,105 crore for 2019-20, a 7 per cent increase as compared to Rs 3,849 crore to be spent in the current financial year.
The budget has pegged 2019-20 capital outlay for GAIL India Ltd, state-run natural gas utility, at Rs 5,339 crore, a 9.5 per cent decline over expenditure of Rs 5,902 crore estimated in the Revised Estimate for 2018-19. https://energy.economictimes.indiatimes.com/news/oil-and-gas/budget-2019-oil-psus-capex-atfour-year-low/67797259

Piyush Goyal talked about major sectoral initiatives currently being undertaken by the government from expansion of LED distribution programme to reforming of the oil and gas bidding regime. ETEnergyWorld | February 01, 2019, 12:35 IST
New Delhi: The interim budget for 2019-20 tabled in Parliament today lacked any major new announcement for the energy sector, with interim Finance Minister Piyush
Goyal talking about major sectoral initiatives currently being undertaken by the government from expansion of LED distribution programme to reforming of the oil and gas bidding regime.
In the oil and gas sector, Goyal’s speech focused on the flagship
Ujjwala scheme .
“Ujjwala is a remarkable success story. We have so far provided 6 crore free LPG connections to rural households for the benefit of poor women. We will provide additional 2 crore connections soon,” Goyal said. The then finance minister Arun
Jaitley had in his budget speech last year expanded the scope of the scheme to cover 8 crore households.
Goyal also said the government has distributed 143 crore LED bulbs to promote energy savings. The country’s solar power generation installed capacity has grown ten times in the past 5 years leading to creation of additional jobs, he said.
“Costly import of crude oil to meet the domestic energy needs has been a major concern of the government. While the demand has been moderated through use of biofuels, urgent actions is required to cut down imports. Based on the recommendations of a High level Committee, we have transformed the system of bidding for oil and gas blocks and the focus is now on implementing the recommendations,” the minister said.
Goyal also laid emphasis on the need for increased use of electric vehicles and new age energy solutions. “India will lead the world in transport revolution through use of electric vehicles and energy storage solutions. This will help in cut down costly imports of oil, enhance energy security and lead to savings of foreign exchange,” he said.
The interim finance minister also emphasized that the government will meet its target of universal household electrification by the end of March 2019. https://energy.economictimes.indiatimes.com/news/power/budget-2019-no-big-bangannouncements-for-the-energy-sector/67788609

Budget speech did not mention any plan about bringing petroleum products and gas into classical GST, Deepak Mahurkar added ETEnergyWorld | Updated: February 01, 2019,
16:50 IST
New Delhi: With the Interim Budget for 2019-20 failing to address the issue of bringing petroleum products and gas under the ambit of GST, the oil and gas sector fears being left behind on GST reforms, said accounting and consultancy firm PwC.
"The Budget speech did not mention any plan about bringing petroleum products and gas into classical goods and services tax (GST). The sector feared being left behind in benefit of GST reform for a few years now," said Deepak Mahurkar - partner and leader India oil & gas at PwC on Budget announcements.
He added that the government has acknowledged the need for reforms in the oil and gas upstream industry .
“The government has acknowledged need for reforms in upstream industry to overcome the issue of significant energy import dependence. Pure exploration contracts are appearing to be issued, which will be new dimension to India's exploration and production," he said.
K Ravichandran, senior vice-president, group head - corporate ratings, ICRA said,
"As per ICRA’s estimates, there may be a shortfall of around Rs 17,000 crore in fuel subsidy for FY19 versus the subsidy provided of Rs 24,833 crore (RE), which includes other nonfuel subsidies.”
He added that depreciation of INR vs USD and rise in crude prices in year-to-date, have contributed to the shortfall.
He said that the options available to the government would be to: Defer the subsidy payments to oil companies to the next fiscal, with appropriation from 2019-20 budgetary allocation; and ask downstream and/or upstream companies to bear part of the subsidy.
Hence, the under provision of subsidy would be a marginal credit negative for the public sector undertakings (PSUs) oil-marketing companies (OMCs) and exploration
& production companies.
Ravichandran added that as regards to 2019-20, the shortfall in subsidy could be around Rs 7,000 crore if the crude price and INR/USD were to be $70/bbl and 72, respectively.
“There could be a surplus of the crude were to be below $67/bbl at a similar exchange rate. Apart from the above, announcement on the impending changes in bidding framework for new oil & gas blocks in order to boost domestic production, will be a positive development for the sector,” he said.

He added that the continued emphasis on free liquid petroleum gas (LPG) connections under the “Ujjwala Yojana” would be a positive for the PSU OMCs as the same would lead to faster growth in LPG sales.
Adequate subsidy provided for Phulpur-Dhamra gas pipeline would be a positive for
GAIL, as the same would improve the viability of the project, Ravichandran said. https://energy.economictimes.indiatimes.com/news/oil-and-gas/industry-on-budget-2019-oil-gassector-fears-being-left-behind-in-gst-reform/67791875
Finance minister Piyush Goyal said the government has ushered in an era of transparency by conducting transparent auction of coal and spectrum ETEnergyWorld | February 01, 2019, 18:55 IST
Junior Finance minster Pon Radhakrishnan, left, looks as interim Finance Minister
Piyush Goyal, center, shows a briefcase containing budget documents at parliament house. Photo/Manish Swarup)New Delhi: With the interim budget for 2019-20 laying emphasis on cutting costly imports of crude oil and natural gas through increased production, Vedanta Resources Executive Chairman Anil Agarwal has said the government must open up the entire natural resources sector for corporates.
“While the finance minister spoke about the transparency in auction of coal and spectrum and highlighted the urgent need to increase hydrocarbon output to cut imports, it is essential that the government pushes ahead with opening of the entire natural resources sector and not just oil and gas,” Agarwal said, commenting on the budget provisions.
Finance minister Piyush Goyal in his budget speech in Parliament said the government has ushered in a new era of transparency by conducting transparent auction of resources like coal and spectrum.
Agarwal s aid India’s natural resource sector has huge untapped potential that will not just do away with India’s import dependence but turn it into a net exporter for a number of metals and minerals. “This will also generate adequate finances for the government to meet its series of social sector objectives and build a $10 trillion economy in the next eight years,” he said.
The business tycoon also said the Modi government must be applauded for what he said was “a pro-growth and fiscally prudent budget” for the financial year 2019-20 without putting the exchequer’s finances under too much pressure.
“This is one budget that has not only focussed on giving immediate relief to a large section of the Indian society but has also clearly outlined the vision for the next decade and building a new India that aims to provide quality life to every Indian,”

Agarwal said.
Goyal in his budget speech talked about the ten dimensions of the government’s vision for the next decade which included physical and social infrastructure, digital
India, addressing pollution issues and expanding rural industrialisation. https://energy.economictimes.indiatimes.com/news/oil-and-gas/budget-2019-anil-agarwal-saysgovt-must-open-up-the-entire-natural-resources-sector/67795613
ETAuto lists out some of the hits and misses in the Union Budget 2019 presented by interim finance minister Piyush Goel. ETAuto | Updated: February 01, 2019, 16:48 IST
The Interim budget also gave a miss to any announcement to bolster the manufacturing activity in the county.New Delhi: The interim union budget
2019 falls completely on the expected line as it shifts spotlight on the middle class and rural population in view of the upcoming general elections. Though, automotive industry will be disappointed as there is no good news for the sector which can have direct impact.
However, some of the announcements such as tax exemption for individual income upto Rs 5 lakh will help in spurring demand for twowheelers and small cars .
ETAuto lists out some of the hits and misses in the Union Budget 2019 presented by interim finance minister Piyush Goel on Friday.
Hits
No tax for income upto Rs 5 lakh
The finance minister on Friday announced no tax on individual income of upto
Rs 5 lakh with effect from 2019-19 . However, it is yet not clear if it will be applicable to all or to certain individual with specific income group. This will certainly help in increased liquidity thus boost the market sentiment. This will eventually lead to an increased demand for two-wheelers and small cars apart from improving demand for overall automobiles.
TDS extension
The FM announced zero TDS limit to Rs 2.40 lakh form earlier Rs 1.8 lakh, he also announced to raise the TDS threshold to Rs 40,000 from Rs 10,000 for deposits in banks and post offices. This will be a huge relief to those taxpayers who keep a large amount of money in their invest money in bank fixed deposits and various post office deposit scheme. The FM also announced no tax on notional rent on second house. While tax-free gratuity limit has been increased from Rs 10 lakh to Rs 20 lakh.
Allocation of Rs 19000 cr for Pradhan Mantri Gram Sadak Yojana.

This may help in increasing the demand for heavy trucks and construction equipment. Allocation of Rs 60,000 crore for MNREGA will also help the rural economy.
MSP hike and Income support to farmer
Finance Minister hiked MSPs by 50 per cent for all 22 crops and also allocated Rs 6,000 per year income support for marginal farmers holding less than 2 hectares land. This may have only a marginal benefit to the industry.
Misses
No GST Realisation
As the automobile sales has been in slow lane, the sector was looking forward to a tax realistion on two-wheelers and cars and auto component to flat 18 per cent.
No Job Booster
The finance minister did not have any important announcement that could lead to job creation. The job losses has been one of the key concern area for the economy.
Make in India out of focus
The Interim budget also gave a miss to any announcement to bolster the manufacturing activity in the county.
R&D Encouragement
The automotive industry standing on a cross road of BS-VI and Electric
Vehicle needed an research and development booster but it did not find any mention in the union budget. The automotive industry wanted the government to restore 200 per cent weighted deduction on R&D.
No EV Policy
The Finance Minister only finds mention of electric vehicle but no detailed policy was framed. https://auto.economictimes.indiatimes.com/news/industry/union-budget-2019-hits-and-misses-forautomotive-sector/67790612
Asserting that rapid infrastructure growth has ushered in transformative changes,
Goyal said, "India is the fastest highway developer in the whole world" with 27 km of highways being built every day.
PTI | February 01, 2019, 13:40 IST
He said introduction of first indigenously built Vande Bharat Express is in line with Make In India drive.NEW DELHI: India is the fastest highway developer in the world with 27 km of highways being built every day, Finance Minister

Piyush Goyal said Friday highlighting the importance of infrastructure sector in the nation's development.
Presenting the Interim Budget for 2019-20 in Lok Sabha, Goyal said there are now 100 functional airports in India with the latest addition of the airport in
Sikkim.
Asserting that rapid infrastructure growth has ushered in transformative changes, Goyal said, "India is the fastest highway developer in the whole world" with 27 km of highways being built every day.
Crediting the government for rolling out stuck projects like Eastern Peripheral
Expressway to decongest Delhi and Bogibeel Bridge in Assam, Goyal said
India also witnessed container movement on waterways.
Mentioning the government's ambitious Sagarmala project for port-led development, Goyal said for the first time container cargo was moved on
Kolkata to Varanasi stretch and now work is on for container cargo movement to the North East.
He said Sagarmala can usher in a blue economy and waterways will be developed.
Goyal in his budget speech also said that for a 10-trillion dollar economy which India aspires to become, physical and social infrastructure will be developed.
To cut on imports, he said stress has been given on alternative fuel and India will lead the world through a transport revolution via electric vehicles.
Next generation infrastructure for rail, sea, urban transport, inland waterways will be developed, he said.
Goyal said to make life better for people living in remote areas, the government has enhanced allocation under Pradhan Mantri Gram Sadak
Yojana (PMGSY) to Rs 19,000 crore from Rs 15,500 crore in the revised estimate for 2018-19.
He said construction of rural roads has tripled under PMGSY and 15.8 lakh out of total 17.84 lakh habitations have been connected with pucca roads under PMGSY.
Highlighting the UDAN scheme, Goyal said there are now 100 functional airports in India and promised that huge jobs will be created with domestic passenger traffic doubling.

The minister said, on the railways front all unmanned level crossings in broad gague network have been completely eliminated.
Capital expenditure programme of Railways, he said, is at an all-time high of
Rs 1.58 lakh crore in the next fiscal.
He said introduction of first indigenously built Vande Bharat Express is in line with Make In India drive. https://auto.economictimes.indiatimes.com/news/industry/india-fastest-highway-developer-inworld-fm-piyush-goyal-in-budget-2019/67789983
While the middle-class is looking at tax exemption and drop in petrol price, farmers feel the government should try to address the agrarian crisis while small businesses are expecting more support.
Minati Singha | TNN | February 01, 2019, 10:43 IST
New Delhi: The last Union budget before the general elections has set expectations soaring among the people in the state. Despite it being an interim budget by the Narendra Modi government, the wish list is long with almost all sections including industrialists, middle-class, farmers and homemakers expecting something or the other.
While the middle-class is looking at tax exemption and drop in petrol price, farmers feel the government should try to address the agrarian crisis while small businesses are expecting more support.
“The government had last changed the tax slab in 2014 when the income exemption was increased from Rs 2 lakh to Rs 2.5 lakh. So, this time, we expect the government to make some changes to benefit the middle-class.
The tax exemption should be raised to Rs 3 lakh at least,” said Deepak
Subuddhi, a private sector employee.
The middle-class is also expecting some populist schemes including accessible healthcare, education and more jobs.
“Tax slab exemption has been a long-pending demand. Besides, education and healthcare should be more accessible. Emphasis should be more on vocational courses and higher education should not be mass education,” said
Tania Rath, a professor at Xavier University, Bhubaneswar .
The main concern for homemakers is the soaring petrol and diesel prices and they hope the government would do something to bring it down. Besides, they are also hoping for a reduction in home loan costs.
“Rise in petrol and diesel prices lead to an increase in cost of essential

commodities. So we expect the government to bring petroleum products under the purview of GST to make the life of middle-class a little easier. Also an increase in tax slab will help resolve lot of issues,” said Sujata Panda, a school teacher.
The industry bodies too have been expecting some changes in the existing policies. “Though this is an interim budget but MSMEs and SMEs expect to be declared as priority sectors, which will help in getting loans. There are expectations of reduction in GST and a more business-friendly budget this year,” chairman of Utkal Chamber of Commerce and Industries (UCCI),
Ramesh Mohapatra, said.
Following Congress president Rahul Gandhi’s announcement of providing minimum guaranteed income if the party comes to power, experts believe the
Modi government may counter this by announcing a universal basic income for all.
“Since this is an election year the government may come up with some populist schemes and to counter Rahul’s minimum guaranteed income, the
NDA government might announce some major financial benefits for the people,” opined Ratnakar Patnaik, a retired government official. https://auto.economictimes.indiatimes.com/news/industry/enhanced-tax-relief-lowering-of-oilprices-dominate-budget-expectations/67785520
It added that the cost of mismanagement by the private sector should not be allowed to get passed on to consumers ETEnergyWorld | January 31, 2019, 18:00 IST
New Delhi: Power engineers’ body, All India Power Engineers Federation (
AIPEF ), on Thursday said they want the Union Budget to make announcement on bringing electricity under the goods and services tax ( GST ).
AIPEF said they also want a slash in lower clean energy cess and strengthening of power network in rural areas from the Budget.
“Electricity should be brought under the GST. With electricity kept outside the purview of the GST, set-off of taxes in power generation, transmission and distribution has not been rationalised with the resultant increase in the cost of power due to the cascading of taxes,” said AIPEF in a statement.
It added that the cost of mismanagement by the private sector should not be allowed

to get passed on to consumers, whether it is from stressed assets problems or revision of power purchase agreements.
The other expectation from the Budget was in terms of higher coal price due to clean energy cess. "With large capacity additions in solar and wind, clean energy cess, which is around Rs 400 per tonne charged on coal, can be brought down to Rs 100 per tonne, as the cost of coal has gone exorbitantly high. This relaxation would benefit the consumers themselves," the power body said.
Power engineers’ body considers lack of infrastructure as one of the main reason for the country's inability to achieve 100 per cent household electrification by 31
December 2018, and, therefore, expect financial assistance to strengthen the power network.
According to the data available, all the households of the country could not be electrified in Saubhagya Yojna by 31 December.
The statement said, "Power system network in far away rural areas require more finances to get strengthened to meet the requirements of new added connections in one year, this problem needs to be addressed in Budget."
AIPEF also highlighted the importance of renewable energy. "The renewable energy sector is eligible for various tax exemptions and concessions owing to the significant set-up costs associated with it as well as the government's agenda of promotion of green energy. However, charging infrastructure and storage infrastructure is a must to fully utilise renewable energy, which requires a big budget provision in Budget
2019-20," it added.
India has 348 gigawatt (GW) installed capacity against peak load demand of 170
GW, even then about one crore households have no access to electricity. https://energy.economictimes.indiatimes.com/news/power/budget-expectations-bring-electricityunder-gst-says-power-engineers-body/67775426
The Central Board of Indirect Taxes and Customs (CBIC) has carved out a separate category for parts and components of electric vehicle for which customs duty has been lowered to 10-15 per cent.
PTI | January 30, 2019, 10:12 IST
New Delhi: To promote domestic assembling of electric vehicles , the government
Tuesday lowered customs duty on import of parts and components of such vehicles to 10 to 15 per cent. Until now, vehicle parts and components imported for assembly in India attracted import duty of 15 to 30 per cent.
The Central Board of Indirect Taxes and Customs ( CBIC ) has carved out a separate

category for parts and components of electric vehicle for which customs duty has been lowered to 10-15 per cent.
Further, the CBIC has removed customs duty exemption to battery packs for electric vehicles and also doubled the duty on battery packs for mobile phones.
Henceforth, import of battery packs for electric vehicles will attract 5 per cent tax.
Customs duty on battery packs for mobile phone has been doubled to 20 per cent.
The new rates of duties will come into effect from Wednesday, the CBIC said.
EY Tax Partner Abhishek Jain said, "These customs duty rate rationalisations while may increase the cost of import of these goods, but should definitely boost the 'Make in India' initiative of the government." https://auto.economictimes.indiatimes.com/news/policy/govt-lowers-import-duty-on-componentsfor-electric-vehicles/67750620